TRANSPORTATION AND LOGISTICS NEWS TO WATCH OUT FOR AT THE START OF THE YEAR
● As we welcome the new year, it is a good time to glance through some of the top transportation and logistics news that have a bearing on the international supply chain.
● This post will help you start the year with a precise idea about some of the most important logistics news from across the world.
ALOOKAT THE TRANSPORTATIONAND LOGISTICS SCENARIO
AROUND THE WORLD
● Spot rates in the container shipping industry have almost reached pre-COVID levels
As 2022 has come to an end, the industry is seeing a drop in the spot rates to the pre-pandemic level.
The market gains of the carriers during the pandemic are probably gone for good. the rates in theTrans-Atlantic routes have skyrocketed.
● The currency crisis in Egypt has resulted in a major port backlog
The ongoing currency crisis in Egypt has led to a significant backlog across all of the major international ports in the country.
The steep depreciation of the Egyptian currency and the rising interest rates have plunged the country into economic despair.
● China’s departure from the zero-COVID policy might prevent supply chain disruptions in 2023
China’s exit from its stringent zero-Covid policy which was fuelled by mass protests put an end to the strict quarantine, mass testing, and lock-down strategy in December. the relaxing of the COVID rules should be of some respite to the transportation and logistics industry in China and beyond.
● This holiday season there has been a boom in shipbuilding
activity The year 2022 has been a great one for the newbuild industry with over 209 deliveries. This clearly demonstrates that international carriers are determined to expand their capacity to cope with the increasing demand for commodities.
● The air freight market will normalize in 2023 ➢
The year 2022 had been a turbulent one for the air freight industry.
➢ In December, the air freight sector was experiencing a drop in consumer demand as opposed to the burgeoning demand for goods that characterized the previous two years. ➢ Another defining industry trend this year is the use of SAF (sustainable aviation fuel) which will be a contributing factor to energy efficiency and climate protection.